In a deal said to be reshaping the global advertising industry, Omnicom has reached a definitive agreement to acquire a major rival, the Interpublic Group (IPG), in a stock-for-stock transaction. If the deal receives regulatory approval, the New York-based ad giants will combine to form an agency that will be the largest in the world, bringing together ad legends TBWA Worldwide and McCann Worldgroup for what CNBC estimates will be more than $26 billion in annual revenue. The merger joins “world-class, highly complementary data and technology platforms” at a propitious time, thanks to seismic, AI-driven advances in marketing and adtech. Continue reading Omnicom Will Acquire Interpublic in Major Ad Industry Merger

Nvidia sales were up 94 percent to $35 billion in the most recent quarter when profits more than doubled, to $19.3 billion, telegraphing the strength of the artificial intelligence boom that took the company from the top supplier of graphics boards for gaming PCs to the world’s most valuable public company with a market cap of $3.59 trillion. Nvidia founder and CEO Jensen Huang told analysts that demand for the company’s latest AI chip, Blackwell, has been “incredible,” driving projections of $3.59 trillion in revenue for the current quarter as customers begin to take shipments. Continue reading AI Boom Boosts Nvidia Sales by 94 Percent as Profits Double

Revenue reached an all-time high for Apple’s most recent quarter as iPhone sales experienced an uptick due in part to consumer excitement for the arrival of Apple Intelligence, the company’s heavily advertised set of AI tools. Total sales reached $94.9 billion for the quarter, up 6 percent year-over-year and exceeding the $94.5 billion that financial analysts had predicted. The company’s iPhone business reported sales of $46.2 billion, following disappointing consecutive quarters in the first half of the year. The AI boom resulted in strong quarters for other Big Tech leaders including Alphabet, Amazon, Meta Platforms and Microsoft. Continue reading Jump in iPhone Business Results in Record Quarter for Apple

Alphabet’s revenue increased by 15 percent during the latest quarter, topping $88.3 billion. Powered by advertising and cloud services, profits surged 34 percent to $26.3 billion, exceeding Wall Street expectations of $22.9 billion. The company experienced continued growth in the online marketplace with popular consumer services such as Google Search and YouTube while also expanding in B2B with cloud offerings. All this as the government explores dismantling its business while competitors such as TikTok and Amazon come after its market share. Advertising growth slowed in Q3, yet still notched a healthy year-over-year increase of 10.4 percent. Continue reading Alphabet Profits Climb 34 Percent, Powered by Cloud and Ads

OpenAI has added publishing powerhouse Hearst to its formidable list of media partners. The force behind outlets including Cosmopolitan, Elle, Esquire, Car & Driver, Popular Mechanics, San Francisco Chronicle and Houston Chronicle will allow more than 20 magazine brands and over 40 newspapers to provide “a vast array of lifestyle content” as well as local news and niche insights to ChatGPT’s professed 200 million weekly users as well as, presumably, on the prototype SearchGPT that launched in July (with a planned ChatGPT integration). Continue reading Hearst Agrees to Content Deal with OpenAI to Fuel ChatGPT

Having demonstrated how advertisements in its AI Overviews would work back in May at its Google Marketing Live event, the search giant is now adding the feature for U.S. mobile users and plans to include Google Lens shopping ads “above and alongside visual search results by the end of the year.” “The ways people ask questions today have expanded beyond the search box,” notes Google, explaining the move as a response to that evolution, as artificial intelligence technology has helped consumers use their voice and cameras “to explore the world around them.” Continue reading Google Serving Ads in AI Overviews and Lens Search Results

Snap Inc. is leveraging its relationship with Google Cloud to use Gemini for powering generative AI experiences within Snapchat’s My AI chatbot. The multimodal capabilities of Gemini on Vertex AI will greatly increase the My AI chatbot’s ability to understand and operate across different types of information such as text, audio, image, video and code. Snapchatters can use My AI to take advantage of Google Lens-like features, including asking the chatbot “to translate a photo of a street sign while traveling abroad, or take a video of different snack offerings to ask which one is the healthiest option.” Continue reading Snapchat: My AI Goes Multimodal with Google Cloud, Gemini

Amazon has joined the ranks of firms offering generative video tools, although its release is aimed only at advertisers, at least for now. Simply called Video Generator, it can turn a product image into a video that showcases the product and even demonstrates its features, “leveraging Amazon’s unique insights to vividly bring a product story to life.” At the company’s Accelerate 2024 conference Amazon also debuted Live Image, which lets brands create animated GIFs from stills, a customizable chatbot assistant for third-party sellers, and a new AI-powered recommendation engine based on customer interests. Continue reading Amazon’s Video Generator Turns Stills into Advertising Clips

In its ongoing effort to strike the right balance between ad targeting and consumer data collection, Google Ads is introducing a new process it calls “confidential matching.” Relying on the hardware and software used for confidential computing in Trusted Execution Environments (TEEs), Google says this new approach allows businesses to securely manage their first-party data. They’ll still be able to use it to reach customers and measure the impact of their digital ad campaigns, but the information will be isolated “during processing so that no one — including Google — can access the data being processed.” Continue reading Google Ads Adopts Open-Source TEE Setup for Data Privacy

Google is giving Gemini Advanced, Enterprise and Business subscribers the ability to create personalized AI assistants, which the company calls “Gems.” “Create your own personal AI experts on any topic you want,” the Alphabet company says. The search giant is also reintroducing Gemini’s image generation capabilities with its latest Imagen 3 model, which will be available to everyone. Gemini, which is Google’s ChatGPT competitor, will again have the ability to generate images of people, something Google disabled in February after controversy over some of the images. The company announced it has implemented new guardrails. Continue reading Gemini Gets Custom Gems AI Assistants and Adds Imagen 3

Facebook parent Meta announced better-than-expected earnings for Q2 last week, surpassing Wall Street estimates for revenue and profit. The company plans to continue spending heavily on artificial intelligence and virtual reality, despite significant losses in its AR/VR and metaverse businesses. Meta reported a revenue increase of 22 percent from $32 billion for the same quarter last year, representing four straight quarters of growth exceeding 20 percent. The company noted that net income jumped 73 percent to $13.47 billion. Advertising revenue, largely from Facebook and Instagram, was up 22 percent year-over-year. Continue reading Meta Reports Q2 Digital Ad Growth, Will Continue AI Spending

Alphabet announced that its revenue was up 14 percent to $84.7 billion in Q2, slightly outperforming expectations. Profits rose 29 percent to $23.6 billion, beating analyst targets by $900 million. Search continued to be a top performer, generating $48.5 billion in the three-month period ending June 30, while Google advertising was up 10.5 percent to $64.6 billion. Google CEO Sundar Pichai said the company’s cloud and generative AI solutions “are being used by more than 2 million developers.” The Google Cloud services unit surpassed the $10 billion quarterly revenue mark for the first time. “We are innovating at every layer of the AI stack,” Pichai added. Continue reading Alphabet Reports Q2 Profits Jump 29 Percent to $23.6 Billion

Google has reconsidered its previously announced plan to turn off third-party tracking cookies in its Chrome browser in favor of an option to be controlled by consumers. The original plan was pushed back a few times but was expected to take place early next year. Competitors and regulators have raised concerns about the deprecation that would have left Google — which hauled in more than $237.86 billion in ad revenue last year — free to use its own tracking to serve targeted ads to those using Chrome. Google is now developing a new plan to let consumers make their own informed decisions about whether to allow third-party cookies. Continue reading Google Changes Direction with Plans for Third-Party Cookies

A consortium of top tech firms have joined forces to launch a security group focused on artificial intelligence applications. The cybersecurity-focused non-profit OASIS will oversee operational aspects of the Coalition for Secure AI, to be known as CoSAI, described as an “open-source community.” OASIS lists Google, IBM, Intel, Microsoft, Nvidia and PayPal as founding Premier Sponsors of CoSAI, whose “additional founding sponsors” include Amazon, Anthropic, Cisco, Chainguard, Cohere, GenLab, OpenAI and Wiz. “CoSAI is an initiative to enhance trust and security in AI use and deployment,” OASIS announced at the Aspen Security Forum. Continue reading Google, OpenAI, Nvidia and Others Form AI Security Coalition

YouTube Music is working to improve its discovery capabilities. The Google unit is testing an AI-powered personalized radio feature for Premium subscribers in the U.S., and is also gradually rolling out something called Sound Search, which lets users describe a type of sound, including by humming it, then having it searched from a catalog that features “over 100 million official songs,” according to YouTube Music. The feature was introduced on a limited basis on Android in May, and is now expanding to iOS users, albeit on what is still a limited basis. Continue reading YouTube Music Expands Its Sound Search and Tests AI Radio